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Vodacom, govt ICT body in $11m deal

Vodacom acting managing director Hendi Hisham.

What you need to know:

Vodacom and National ICT Broadband Backbone have signed a pact to allow the former to use government-owned fibre optic cable infrastructure to enhance connectivity in rural areas.

Dar es Salaam. Vodacom Tanzania and the National Information Communication Technology Broadband Backbone (NICTBB) have signed a partnership contract, which brings the total value of pacts inked between the two parties to $45.8 million (about Sh103.5 billion) to date.

Yesterday the two signed an $11.2 million (about Sh25.3 billion) worth deal which will allow Vodacom to use the government’s fibre-optic cable infrastructure to enhance connectivity in rural Tanzania.

Vodacom has been a key stakeholder in the use of NICTBB infrastructure since 2012, with a capacity leasing contract worth $34.6 million (Sh78.2 billion) signed in a period of five years that expired in 2017. Under the period, TTCL worked with the Vodacom as a key stakeholder in the use of NICTBB.

The pact inked yesterday by TCLL director general Waziri Kindamba and Vodacom acting managing director Hendi Hisham is set to further improve Vodacom’s voice and data traffic.

“This year, Vodacom will be leasing the NICTBB capacity extending countrywide across 7,560km for 10 years as per a contract worth $11.2 million,” noted Mr Hisham.

The customers targeted by the pact are those living in the lake, central, northern and southern zone regions.

He expounded that the fibre optics cable was designed for long-distance, high-performance data transferring.

“We are committed towards transforming the country into a knowledge-based society through the application of ICT,” said Mr Hisham.

Expanding their investment, Vodacom plans to assist the government through efficient use of fiber optics cables over the course of the next few years combining their telecommunication expertise with the existing foundation of government infrastructure.

Mr Kindamba is optimistic the new deal will increase the capacity of data traffic and eventually enhancing usage of ICT applications for sustainable socio-economic development including implementation of e-government, e-learning, e-health, and e-commerce.

“We are excited to witness the transformative effects which is meant to connect even more Tanzanians,” said Mr Kindamba.

He commended ‘Vodacom’s commitment towards transforming the country into a knowledge-based society through the application of ICT while bridging the digital divide as well as strengthening competitive abilities of domestic data and voice operators.

The ministry of Works, Transport and Communications deputy permanent secretary, Dr Jimmy Yonaz, said: “the efficient use of fiber optics infrastructure can minimize the gap in connectivity in rural areas.”